18 February 2019

South Africa: 'All Bosasa-Owned Youth Centres Should Be Expropriated Without Compensation' - EFF

Photo: Bosasa
Bosasa logo

The EFF says all government departments and institutions that had relationships with embattled African Global Operations (AGO), formerly known as Bosasa, should build internal capacity to provide services that were provided by the company.

The party said this following an announcement by the company on Monday that it was under voluntary liquidation after its banks communicated a decision to close down the company's banking facilities.

It added that the state should build capacity for catering in prisons and managing all the youth rehabilitation centres that were run by the company.

"All the youth centres that are owned by Bosasa should be expropriated without compensation, because they were established, built and financed through proceeds of corruption," it said.

In a statement on Monday, the party said while it noted the move by the company, if nothing was done, more than 4 500 jobs belonging to ordinary South Africans, who had nothing to do with the corruption at the company, would be lost.

It also called on all government and state entities that had contracts with AGO to insource all workers employed by the embattled company, particularly security guards.

"Insourcing of workers is the only rational and sensible action that government should engage in, as a matter of urgency. In the recent past, the EFF has witnessed how insourcing has improved the lives of workers in the City of Johannesburg and Wits University," the party said in a statement.

It added that many workers who used to be paid very low salaries were now paid decent wages and received employee benefits applicable to full-time employees.

The EFF also called on banks to close the accounts of Steinhoff and all companies and individuals implicated in the fixing of South Africa's currency for private benefit.


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